Unity's Revolutionary Pricing Model: Maximize Your Profits Based on App Installs

Unity's Revolutionary Pricing Model: Maximize Your Profits Based on App Installs

Unity plans to implement a novel developer fee structure based on the number of game installs and revenue achieved, ensuring fair payment obligations only when specific thresholds are met

Starting on January 1, 2024, game developers using Unity's game toolset creator will be subject to a new fee structure based on the number of game installs. To understand how this will work, it's important to know that Unity is divided into two main components: the Unity Editor, utilized by developers, and the Unity Runtime, which is the code responsible for running games on PCs, consoles, or mobile devices. The fee will be associated with the Unity Runtime and will be triggered each time a "qualifying" game is installed. However, the fee will only apply after specific revenue and install base thresholds have been reached, which will vary depending on the version of Unity being employed. Additionally, the fee amount will be determined by the number of installs and the geographical origin of the game.

For users of Unity Personal and Plus, the fees will be applicable once a game has generated $200,000 or more in revenue over the last 12 months, and has reached a minimum of 200,000 installations throughout its lifetime. On the other hand, Unity Pro and Enterprise require the game to have earned $1,000,000 or more in the past year, with a minimum of 1,000,000 lifetime installations. A chart provided by Unity is displayed below, showcasing the different install fees.

Unity's Revolutionary Pricing Model: Maximize Your Profits Based on App Installs

The following chart illustrates the potential install fees through Unity. The implementation of this policy may also have cultural ramifications. Developer Callum Underwood expressed concerns on Twitter/X, suggesting that the policy could hinder charity bundles. He stated, "No developer would want to contribute thousands of keys to bundles raising funds for charities if it means they will surpass Unity's threshold for charges." Bruno Dias, a writer and developer for Fallen London, raised a thought-provoking question on cohost, "If The Gamers become displeased with a studio, could they intentionally reinstall the game repeatedly in order to incur Unity runtime fees?"

There is widespread concern about the specific workings of this system. For instance, would Unity consider demos as valid installations? Would games available on Game Pass or other subscription services be disproportionately impacted, considering they have a larger user base but no increase in sales? The answers to these questions remain unclear at this point, and Unity will undoubtedly have to address these concerns raised by developers in the coming days.